Sinopec and Huadian Take 15 Percent Stake in Petronas’ Canadian LNG Project

China Petrochemical Corp, or Sinopec, and state-owned power group China Huadian Corp will acquire a combined 15 percent stake in a Canadian liquefied natural gas (LNG) project from Malaysia’s Petroliam Nasional Bhd, or Petronas. A Petronas statement did not specify how much Sinopec and Huadian paid for the stake.

As part of the arrangement, Sinopec will receive 1.8 million tons of LNG every year for 20 years starting in 2018. Sinopec also signed another agreement with Petronas that will bring an additional 3 million tons of LNG to China every year for 20 years.